Public Transport and Fare Increases: Motion [Private Members]
Dail Éireann — 2026-09-29
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Neale Richmond (FG), Dublin Rathdown

I thank all the Deputies for their contributions this evening, for the points they have raised and for bringing these important topics to the House.
As set out in the Minister, Deputy O'Brien's, earlier remarks and the counter-motion, the Government is committed to maintaining a sustainable PSO funding model that supports continued network growth, service improvements on public transport, the delivery of BusConnects and Connecting Ireland, commuter rail expansion and future investment, while ensuring public transport remains reliable, accessible and affordable. The proposed fare adjustments are necessary to underpin these objectives and support the long-term sustainability of the network.
Maintaining affordable fares must be balanced with ensuring a financially sustainable transport system capable of funding service improvements, network expansion and fleet investment. Achieving this requires a careful balance between delivering high-quality, reliable services and ensuring the network is adequately resourced to meet growing demand. As passenger numbers continue to rise in recent years, with a record breaking 363.5 million journeys undertaken just last year, supporting people to make that switch from private car use, it is important to recognise Ireland has maintained an effective eight-year fare freeze alongside targeted affordability measures, including the young adult card, free travel for children up to nine years old and the 90-minute fare.
In line with international best practice and to bolster the State's capacity to invest in service expansion, network improvements and operational resilience, and to encourage continuous passenger growth, it is essential, therefore, that we prioritise the reinvestment of increased fare revenue, ensuring we can maintain a well-funded, reliable system and deliver greater, long-term benefits rather than reducing fares to unsustainable levels. These measures compare favourably when viewed in a European context with those adopted in many other countries. While we acknowledge the objective of improving affordability on a wider scale, making public transport free for all, as suggested by some, would impose a significant fiscal burden on the Exchequer with potentially far-reaching funding implications for the wider transport system and any other budgetary suggestions or requests.
In this regard, providing free travel for all would significantly undermine the financial sustainability of the public transport system and constrain the ability to maintain and enhance service provision. The proposal to make public transport free for all is difficult to determine but would be substantial. The fare revenue loss alone in 2027 is in the range of €538 million to €595 million and does not include the cost of the provision of additional fleet and services to cater for the expected additional passenger demand. We fully recognise that keeping fares affordable is important but so too is ensuring that we can continue to introduce new routes, increase frequencies, improve reliability and connect more communities to public transport.
The Government completely appreciates the pressure rising fuel costs is placing on households, transport operators, the wider community and families across the country. Public transport has a particularly important role to play at times like this by providing a more affordable and sustainable alternative for many people. In that context, the Minister, Deputy O'Brien, and his Department are keeping under close review how the public transport system is equipped to respond to current pressures. At the same time, it is important the measures are carefully considered and aligned with available resources so they are effective, sustainable and deliver real benefits to passengers. There is a requirement to strike the right balance in public transport fares to enable further enhancements to the public transport network in the coming years, offer the most competitive fares to younger and student passengers and ensure the value for money of the PSO subsidy to society.
As articulated earlier, the recently announced change in fares is aimed at supporting the continued expansion and improvement of public transport while maintaining affordability. Any overall increase in revenue generated here will go straight back into investment in public transport services, delivering better connectivity, capacity and reliability for passengers and commuters. I counted no less than 14 interventions from Deputies who called for that increased level of service and availability in this debate alone. There is a lot of demand. It is understandable and merited but it does have to be paid for somehow.
Regarding funding, an unprecedented funding allocation of €940 million for PSO services was secured in budget 2026, as laid out by Deputy Cahill. This is a significant 43% uplift in the allocation from the previous year's budget. While 2026 saw this substantial increase in Exchequer funding, continued inflationary pressures have increased the cost of operating public transport services which has limited the NTA's ability to introduce improvements to existing services or new services in the TFI network as part of the wider capital investment under the national development plan. Any funding provided to the PSO programme under budget 2027 will still be supporting over 65% of operating costs overall. Fares have to play a role, therefore, in rebalancing that equation. The adjustments to fares are required to help offset the cost increases in recent years, improve fare revenue recovery and ensure the sustainability of the PSO funding.
We are at a key juncture for public transport in Ireland. Reliable and sustainable services are critical as passenger numbers grow. Congestion worsens in urban areas and a greater proportion of the population depends on public transport for commuting, education and essential travel. The challenge, therefore, is to balance affordability for passengers with the long-term financial sustainability needed to expand and improve public transport services.
The NTA applies detailed statistical analysis of all services, and it shows the passenger growth is expected to continue throughout 2027, supported by the ongoing expansion and enhancement of services which are anticipated to attract additional users and further strengthen public transport demand. To support this increased demand adequate funding, including increased fare revenue, will support the delivery of key transport programmes and commitments in line with operational and resource capacity. For example, the NTA recently identified approximately 140 new service initiatives and capacity enhancements as part of its 2027 budget submission to the Department of Transport, taking account of competing funding demands and wider public transport priorities. They remain subject to the outcome of the annual Estimates process and, if approved, will represent the biggest year-on-year enhancement of services in many measures. As per the intervention of Deputy Dolan, these measures would allow for the continued growth in PSO journeys, which have continued to grow steadily, and demonstrate how the public is making positive steps in making the switch to using public transport.
The adjustment of fares is required to ensure the sustainability of the PSO funding model and support the Government's commitment to continued network growth, service enhancements, investment in BusConnects in Dublin, Cork and other cities, the completion of the Connecting Ireland rural mobility programme, continued development of commuter rail services, and funding future improvements while keeping public transport competitive and affordable. As a Government, we must remain fully committed to building on these positive changes and delivering a public transport system that is responsive to passenger needs. In this regard, as noted in the Minister's earlier remarks, the Government is investing record levels of public funds into public transport infrastructure. Over the lifetime of this Government, we will see shovels in the ground of MetroLink, DART+, Luas Finglas and the reinstatement of the western rail corridor between Claremorris and Athenry. We will also see the continued progression of core bus corridors in Dublin as part of the BusConnects Dublin programme, the completion of phase 1 of the Cork area commuter rail programme and the progression of phase 2. These projects, along with others provided for in the national development plan, will help provide a high-quality, connected public transport system for all passengers and help to alleviate congestion.
I assure the Deputies that the Government recognises that transport connectivity is hugely important for all people, particularly those who live and work in rural Ireland, as evidenced by the launch last year of Ireland's first-ever smart demand responsive transport, DRT, pilots in Achill, Killarney and the north east of Limerick city. Using the TFI Anseo app, passengers are now able to book on-demand rides with ease, bringing the convenience of modern rideshare together with the reliability and affordability of public transport. This pilot is funded under the Government's climate action fund which supports innovative transport solutions which contribute to a greener and more connected Ireland. The roll-out of the current phase of the Towns++ programme began with the launch of the Carlow town bus service in 2023 and, most recently, a Mullingar town service launched earlier this year.
I thank the Deputies for raising these issues and initiating a very important discussion. However, for the reasons the Minister, Deputy O'Brien, and I both outlined, the Government is opposing the motion. The Government has high ambitions for our public transport system and has allocated funding to make them a reality. We want people to shift to sustainable modes and believe the new fares remain competitive and continue to represent great value to commuters and all passengers. We also believe that investment in new services is essential and fare changes will help facilitate this and will mean that public transport will continue to be attractive for more and more people in the years ahead.
The Government and Department of Transport, in partnership with the NTA and operators, remain fully committed to delivering a public transport system that is reliable, accessible, affordable and capable of meeting the growing needs of communities throughout the country. It is, therefore, essential that the public transport system remains well funded and responsive to passenger needs. Adequate fare revenue is critical to supporting this.

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Record URI: https://data.oireachtas.ie/akn/ie/debateRecord/dail/2026-09-29/debate/main
Retrieved: 2026-10-05T01:00:59+00:00
Sitting date: 2026-09-29